Labbrand analyzes a deep knowledge of Chinese customers for Gucci Group, supporting its branding in China.
THE REDEFINITION OF LUXURY
Gucci Group is a part of the global luxury group – Kering (PPR). As one of the world's leading multi-brand luxury goods companies, Gucci group owns a portfolio of powerful luxury and sport and lifestyle brands. The Group has redefined luxury for the 21st century and represents the pinnacle of luxury goods.
BETTER KNOW THE GROWING MARKET
Chinese luxury industry continues to grow with the addition of new luxury brands entering the market. Gucci Group begins to expand its operations in China, consumers’ perception of “luxury” becomes an essential topic to analyze, especially regarding the origin of luxury products. Our goal was not only to imbibe virtual map prints in the consumers’ mind set but rather evaluate its applicability in the market.
To analyze this situation in China, we adopted a comprehensive approach through a combination of qualitative research techniques including focus groups, IDIs and media context analysis. We studied brands’ “authentication” strategies in order to understand the roles of brand origin elements, brand names, and celebrity endorsement. Competition among luxury brands is increasingly fierce in China. Having a deeper knowledge of Chinese customers was what Gucci Group needed. As a result, we identified a series of new authentication logics regarding brand origin and how they could be applied in China. Subsequently, Gucci Group leveraged this information to support its branding, advertising, and marketing efforts in mainland China.